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TDS and TCS Rates for the Financial Year 2012-2013


TDS(Tax Deducted at Source) / TCS(Tax Collected at Source) rates in the Union Budget 2012-13 have been amended for the Financial Year 2012-13 as the thing is common for every year as the financial stability of the Taxpayer changes. TCS( Tax collection rate chart ) for financial year 2012-13 is also given here under. There is a small degree of change in TDS rates and and cut off amount are done by the Finance Ministry in the Budget.TDS Rates Chart AY (2013-14) FY (2012-13) - Updated TDS Rates for Financial Year 2012-13 after Budget, which are as below. The below give TDS after all amendments done by the CBDT notifications and circulars. The TDS rates chart has mentioned for all payment and about payee status to deduct TDS.

We will update this post regularly,if there is any mistake, error then please point out this in comment section. TDS rate Chart for the A.Y. 2013-14,No changes in other than Salary . So you should consider TDS on salary.

TDS or TCS RATE CHART FINANCIAL YEAR 2012-2013

Sl. No.
Section Of Act
Nature of Payment in brief
Cut Off Amount
Rate %
01.04.12
01.07.12
HUF/IND
Others
1
192
Salaries
Salary income must be more then exemption limit after deductions.
Average Rate
2
193
Interest on debentures
2500
5000
10
10
3
194
Deemed dividend
-
-
10
10
4
194A
Interest other than Int. on securities (by Bank)
10000
10000
10
10
4A
194A
Interest other than Int. on securities (By others)
5000
5000
10
10
5
194B
Lottery / Cross Word Puzzle
10000
10000
30
30
6
194BB
Winnings from Horse Race
5000
5000
30
30
7
194C(1)
Contracts
30000
30000
1
2
8
194C(2)
Sub-contracts/ Advertisements
30000
30000
1
2
9
194D
Insurance Commission
20000
20000
10
10
10
194EE
Payments out of deposits under NSS
2500
2500
20
-
11
194F
Repurchase of units by MF/UTI
1000
1000
20
20
12
194G
Commission on sale of lottery tickets
1000
1000
10
10
13
194H
Commission or Brokerage
5000
5000
10
10
14
194I
Rent (Land & building)
180000
180000
10
10
Rent (P & M , Equipment, furniture & fittings)
180000
180000
2
2
15
194J
Professional/Technical charges/Royalty & Non-compete fees
30000
30000
10
10
16
194J(1)(ba) 
Any remuneration or commission paid to director of the company(Effective from 1 July 2012)
NA
NIL
10
10
17
194LA
Compensation on acquisition of immovable property
100000
200000
10
10
18
194LLA
Payment on transfer of certain immovable property other than agricultural land (Effective from 1 October 2012)
 (a) INR 50 lakhs in case such property is situated in a specified urban agglomeration; or(b) INR 20 lakhs in case such property is situated in any other area) (Effective from 1 October 2012)
1
1


TCS Rates for the Financial Year 2012-13 is tabulated below

Sl.No. Nature of Goods Rates in %
01.04.2012 01.07.2012
1. Alcoholic liquor for human Consumption 1 1
2. Tendu leaves 5 5
3. Timber obtained under forest lease 2.5 2.5
4. Timber obtained by any mode other than a forest lease 2.5 2.5
5. Any other forest produce not being timber or tendu leaves 2.5 2.5
6. Scrap 1 1
7. Parking lot 2 2
8. Toll plaza 2 2
9. Mining & Quarrying 2 2
10 Minerals, being coal or lignite or iron ore  NA  1
11 Bullion or jewellery (if the sale consideration is paid in cash exceeding INR 2 lakhs)  NA  1

No Education Cess on payment made to resident

Education Cess is not deductible/collectible at source in case of resident Individual/HUF /Firm/ AOP/ BOI/ Domestic Company in respect of payment of income other than salary. Education Cess @ 2% plus Secondary & Higher Education Cess @ 1% is deductible at source in case of Non-Residents and Foreign Company.

Surcharge on Income-tax

Surcharge on Income-tax is not deductible/collectible at source in case of individual/ HUF /Firm/ AOP / BOI/Domestic Company in respect of payment of income other than salary.

Information of Service Tax increase from 10 to 12 percent in 2013


The Mr. Pranab Mukherjee, Finance Minister has amended Tax rates in the Finance Budget 2012 - 2013, as in the same way he as increased the Service Tax rate with 2% w.e.f March 1st, 2012. So, the people will have to bear extra service charge as they are accustomed to the services in today's life such as Cell Phone Eating in Restaurants and etc.,. It is the quite impossible to survive without services like Telephone, Debit Card usages in this globalisation.

"I propose to raise the service tax rate from 10 per cent to 12 per cent ... My proposals from service tax are expected to yield an additional revenue of Rs 18,660 crore," - Pranab Mukherjee said while presenting the Budget for 2012-13

as well added,

"The government has estimated to collect Rs 95,000 crore from service tax in the current fiscal and has pegged the next year's target at Rs 1.24 lakh crore. I propose to tax all services except those in the negative list. The list comprises 17 heads and has been drawn up, keeping in view the federal nature of our polity, the best international practices and our socio-economic requirements,"

So, as the final conclusion the Services not under negative list attract 12% Service Tax. Last year, the Centre had proposed a negative list containing 22 services. Tax at the rate of 12% is currently levied on 119 services.The services that comprise the negative list include those provided by the government or local authorities, except a fewspecific services where they compete with private sector.

The list also includes pre-school and school education, recognized education at higher levels and approved vocational education, renting of residential dwellings, entertainment and amusement services and a large part of public transportation including metered cabs, and agriculture and animal husbandry.

The Negative List concept is practiced globally and is proposed to be introduced in India as part of the Goods and Services Tax (GST) regime.

"Movement towards the negative list will result in reducing nearly 290 definitions and descriptions in the Act to 54, and the exemptions from the existing 88 to 10," - Pranab Mukherjee said

Exempted List from Service Tax

He also announced a list of services which are exempted from Service Tax. This include Health Care, Services provided by Charities, Religious Persons, Performing Artists in Folk, Sportspersons and Classical Arts.

Service Tax on Advocate Service

Also individual Advocates providing services to non-business entities, Independent Journalists, and services by way of Animal Care or Car parking will be exempt from tax.

Film Industry

Further, Mukherjee also proposed to exempt the Film Industry from service tax on Copy Rights, relating to recording of Cinematographic Films.

Life Insurance Service

Service tax on life insurance services, if the entire premium is not towards risk cover, then the first year's premium shall be taxed at the rate of 3%. Subsequent premium shall attract tax at the rate of 1.5%, he said adding availment of full CENVAT credit is being allowed.

Transport Service

Transport of passengers embarking in India for Domestic and International Journey by Air would attract an ad-valorem rate of 12%, with abatement of 60% in case of Economy Travel. The dual rate structure of maximum service tax of Rs 150 and Rs 750 in case of Economy Class Travel has also been proposed in the Budget.

At current prices, the contribution from services during 2010-11 works out to about Rs 50 lakh crore. However, the total collection from service tax during 2010-11 was over Rs 70,000 crore.